Spotlight

Indian equity markets are expected to trade with a constructive bias, supported by improving geopolitical developments and easing commodity prices. Investor sentiment has strengthened following the United States announcement of the reopening of the Strait of Hormuz. These developments have reinforced optimism surrounding the broader U.S.-Iran peace process, alleviating concerns over global energy supply disruptions and supporting expectations of greater stability in international commodity markets.  However, some degree of profit booking cannot be ruled out at higher levels following the market's strong rally over the past several sessions.
Crude oil prices continue to consolidate in the $74–76 per barrel range, providing a supportive backdrop for the Indian economy. Meanwhile, gold prices are on track for a weekly decline as expectations of a hawkish U.S. Federal Reserve continue to weigh on the precious metal, reducing safe-haven demand.

Foreign Institutional Investors (FIIs) have continued to alternate between buying and selling, reflecting the absence of a clear directional trend in global capital flows. However, the pace of foreign outflows has moderated in recent sessions, offering some relief to domestic equities and helping support broader market sentiment.

Additionally, comments from India's Foreign Secretary, Vikram Misri, indicating that the India–US interim bilateral trade agreement is in its final stages, coupled with confirmation that the India–UK Free Trade Agreement is expected to come into effect in July following the resolution of key steel-related issues, have provided a further boost to investor sentiment.

 
Technical view

Nifty 50

Nifty 50 continues to exhibit a constructive technical structure following its recent breakout from a consolidation phase. From a technical perspective, the 24,200 level remains the immediate resistance area. A sustained breakout above this level would reinforce the prevailing bullish momentum and could pave the way for a further advance towards the 24,400 region, which represents the next significant upside target.
 
On the downside, the psychological 24,000 mark continues to serve as a crucial support level. Holding above this zone will be essential to preserve the ongoing recovery structure and maintain the positive market bias. However, a decisive break below 24,000 could trigger profit booking and expose the index to further downside towards the 23,900–23,800 support region. Overall, the near-term technical outlook remains constructively bullish. While the recent breakout has strengthened the underlying trend, a sustained move above the 24,200 resistance level will be essential to confirm the continuation of the uptrend and support further gains in the sessions ahead.

Bank Nifty

Bank Nifty continues to exhibit relative strength and remains well positioned above its key support levels, reflecting sustained buying interest in the banking space. From a technical perspective, the 58,000 psychological mark remains the immediate resistance level. A sustained breakout above this zone would reinforce bullish momentum and could pave the way for an extension of the rally towards the 58,300–58,500 region, which represents the next significant upside target.
 
On the downside, 57,800 is expected to act as the immediate support level. Holding above this zone will be crucial to preserve the prevailing positive structure and maintain the ongoing recovery trend. However, a decisive break below 57,800 could trigger profit booking and drag the index towards the 57,600–57,500 support region. Overall, the near-term technical outlook remains cautiously bullish. As long as Bank Nifty sustains above its key support levels, the broader recovery trend is likely to remain intact. However, a sustained breakout above the 58,000 resistance level will be essential to confirm stronger bullish momentum and support a move towards higher resistance levels.